The Government of India is set to initiate the next phase of airport privatisation, with plans to
invite bids for 11 airports across the country under the Public-Private Partnership (PPP)
model. This upcoming bid process is aimed at enhancing operational efficiency, improving
passenger services, and unlocking new investment opportunities in airport infrastructure.
Currently, many of the airports identified for privatisation are operated by the Airports
Authority of India (AAI), a government-owned entity responsible for managing civil aviation
infrastructure across the country.
The proposed privatisation of these 11 airports marks the next phase of the government’s
airport monetisation strategy.
What does the word “Privatisation” mean here?
Privatisation does not mean that the government is selling the airports to private companies.
Instead, ownership remains with the government while a private operator is granted the right
to manage and develop the airport. The private entity invests capital in infrastructure and
operations, and in return earns revenue from passenger services, airline charges, retail
outlets and parking facilities.

he government is pursuing this initiative to attract private capital and accelerate the
modernisation of airport infrastructure across the country. As passenger traffic continues to
grow and regional connectivity expands, increased investment is required to upgrade
terminals, expand capacity, and enhance operational efficiency at several airports.
The upcoming round follows earlier phases of airport privatisation undertaken by the
government. In 2019, six airports including Ahmedabad, Lucknow, Mangaluru, Jaipur,
Guwahati and Thiruvananthapuram were awarded to private operators under the PPP
model.
Subsequently, the government proposed leasing another set of airports such as
Bhubaneswar, Varanasi, Amritsar, Raipur, Indore and Tiruchirappalli under its asset
monetisation programme.
Building on the earlier phases, the government is now preparing to launch the next round of
privatisation covering 11 additional airports.
According to reports, the upcoming third phase is expected to include airports such as
Amritsar, Varanasi, Kushinagar, Gaya, Raipur, Aurangabad, Bhubaneswar, Hubballi, Tiruchirappalli, Tirupati and Kangra. These airports may be offered in bundled clusters to
make the bidding process commercially viable and attract greater private participation.
Under the proposed framework, the identified airports are expected to be offered to private
operators through a competitive bidding process. Interested companies will submit financial
and technical proposals, outlining their investment commitments and revenue-sharing
models. The selected bidder will be granted operational rights for a fixed concession period,
during which they will be responsible for upgrading infrastructure, managing day-to-day
operations, and enhancing passenger services.
The third phase of airport leasing reflects the government’s continued focus on infrastructure
monetisation and private sector participation. If implemented as planned, the move could
strengthen regional connectivity, boost investment in airport facilities, and support the steady
expansion of India’s civil aviation sector.